The Bengaluru police has booked the top officials of Karvy group for cheating investors by promising huge returns. Operating under many firms such as Karvy Private Wealth, Karvy Realty India Pvt Ltd, Karvy Stock Brokers and Karvy Capital, the Karvy group of companies allegedly cheated investors by promising them a secure investment and 20 percent returns, according to reports.
The Chief Executive Officer (CEO) of Karvy Private Wealth Abhijit Bhave and some other top shots of the group have been booked by the city police for criminal breach of trust and cheating after nine investors filed a complaint with the Basavangudi police for defrauding them to the tune of Rs 3.81 crore.
"We registered a case of cheating and requested all details and documents about their investments for verification. A probe will begin once we complete scrutiny of documents," a police officer said, according to News18.
The complainants alleged that Karvy relationship managers called them repeatedly and even visited their residences. "They encouraged us to invest in the company, which would, in turn, invest in profit-making firms and get us good returns," a complainant said, reports Deccan Herald.
The managers had told complainants that investments would be handled by the Karvy Private Wealth CEO Abhijit Bhave, Real Estate Head Pravin Garle, Directors Kamodor Partha Sarathi, Yogendar Mika, Ashish Agarwal, Bhagavan Das Narang, regional heads Nithin Sabarwala, Praveenbai Bhagwanji Amlani, Nithin Saksena, Prathivadi Bhayankaram Ramapriyan, Venkatesh Sesha Ravi Prasad Chavali, Mumbai division head Chethan Deherkar and Basavanagudi Branch vice-president Thomas Stephen, adds the report.
The report comes in the wake of the IMA scam that rocked the state last week. Most of the complainants in Karvy invested a major part of their life savings in the firm hoping for a better future. Some had invested for their children's marriage while others looked for a steady income after retirement. But to the shock of investors, the money flow halted suddenly two years ago.
